The ABC Company is preparing its financial statements on December 31. During the year, they purchased IBM stock for $20,000. On December 31, the market value of the stock is $8,000. The journal entry on December 31 will include a:
A) debit to unrealized gain for $12,000.
B) debit to unrealized loss for $8,000.
C) debit to unrealized loss for $12,000.
D) debit to realized loss for $12,000.
Correct Answer:
Verified
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